2 December 2004
Software Developer pVelocity Announces First Round of Financing, Appoints New CEO

TORONTO--(BUSINESS WIRE)--Dec. 2, 2004--pVelocity Inc., a leading developer of software for profit optimization, is pleased to announce that they have received C$4 million in venture capital from EdgeStone Capital Partners, a private equity firm, to finance expansion and product development.

Concurrent with this financing, pVelocity announces the appointment of Ms. Paula Hucko to the role of Chief Executive Officer. Hucko is a 25-year veteran of the software development and financial services industries, most recently with GE Healthcare after their acquisition of Triple G Systems Group.

Says pVelocity Inc. Founder & Chairman Mr. Ron Shulman, "We have a big vision for our software products in the batch processing manufacturing industries. The injection of this funding, and the arrival of Paula Hucko in the role of CEO, will allow us to grow our business in the direction and at the pace that I had always envisioned."

According to Mr. Derek Smyth, Partner with EdgeStone, "This is our first investment out of EdgeStone Capital Venture Fund II, which we closed last month. pVelocity is exactly the style of Canadian enterprise software company that we are targeting, and we couldn't be more pleased."

About pVelocity

pVelocity Inc. is a leading provider of software for profit optimization. The pVelocity suite of products gives complex manufacturers the capability to leverage data from multiple systems and evaluate the impact of competing variables on ROA and profit. The company has a rapidly growing list of prestigious customers with installations in the chemical and extruded metals industries. Based in Toronto, Canada, privately-held pVelocity was founded in 2001 and has 16 employees. Please visit www.pvelocity.com

About EdgeStone

EdgeStone Capital Partners is a private equity firm with over C$1.5 billion under management. EdgeStone currently offers three funds: Venture Fund II, Equity Fund II and Mezzanine Fund II. EdgeStone has 40 employees, with offices in Toronto and Montreal, Canada.

pVelocity is a registered trademark of pVelocity Inc. in Canada. The Profitability Dash is a registered trademark of pVelocity Inc. in Canada and USA.

For further information, contact:

Michael Neary
pVelocity Inc.
T: 416.493.8000 ext 241
Email: mike.neary@pvelocity.com